How to Actually Invest in Pokemon Stock

There is no single, publicly traded company named “Pokemon” that you can invest in. The popular franchise operates under a unique corporate structure, making direct investment in the entire brand impossible. Instead, those interested in the financial success of the Pokemon universe typically look to invest in the publicly traded company most closely associated with the brand. This guide clarifies the ownership structure of the Pokemon franchise and provides the necessary steps to invest in the most relevant publicly traded entity.

Understanding the Companies Behind Pokemon

The Pokemon Company (TPC) manages the globally recognized Pokemon franchise. TPC is not a standalone publicly traded entity; rather, it functions as a joint venture. Its ownership is shared among three distinct Japanese companies: Nintendo Co., Ltd., Game Freak Inc., and Creatures Inc.

Game Freak Inc. is primarily responsible for developing the core series of Pokemon video games. Creatures Inc. contributes significantly to the franchise by managing the Pokemon Trading Card Game and various merchandise. Neither Game Freak Inc. nor Creatures Inc. are publicly traded companies, meaning individual investors cannot directly purchase shares in them.

Nintendo Co., Ltd. is a publicly traded company that holds a substantial stake in The Pokemon Company, approximately 32%. Nintendo’s involvement extends beyond its ownership share, as it publishes and distributes the mainline Pokemon video games worldwide. For most individual investors seeking to participate in the financial growth of the Pokemon franchise, investing in Nintendo represents the most direct and viable avenue.

Setting Up Your Investment Account

Before you can place an order for any stock, including Nintendo, you must establish an investment account with a brokerage firm. A brokerage firm acts as an intermediary, allowing you to buy and sell various investment securities. When selecting a brokerage, consider factors such as the fees charged, the features offered by their trading platform, and the quality of their customer service. Many online discount brokers now offer commission-free trading for stocks and exchange-traded funds (ETFs), which can minimize your transaction costs.

Opening an investment account typically requires you to provide a range of personal and financial information. This generally includes your full legal name, date of birth, home address, email address, and Social Security number or other taxpayer identification number. You will also need a government-issued photo identification, such as a driver’s license or passport, to verify your identity. Brokerage firms also ask for employment status, annual income, and estimated net worth to assess your risk tolerance.

Once your account application is approved, the next step is to fund it. Common methods for depositing funds into a brokerage account include electronic transfers, wire transfers, and check deposits. Electronic transfers are a widely used method and typically take between one to three business days for funds to become available for trading.

Wire transfers offer a faster funding option, with funds often available within the same business day or one to two business days, although your bank may charge a fee. Depositing a physical check can take longer, generally up to five to seven business days for the funds to clear and become available in your account.

When opening an account, you will typically choose between a cash account or a margin account. A cash account requires you to pay the full amount for any securities purchased, using only the cash available in your account. A margin account allows you to borrow funds from the brokerage to purchase securities, with the investments in your account serving as collateral, though this option carries increased risk.

Placing Your Nintendo Stock Order

With your brokerage account established and funded, you are ready to place a trade for Nintendo stock. The first step involves logging into your brokerage account and navigating to the trading platform or investment section. You will then need to search for Nintendo using its stock ticker symbol. For investors in the United States, Nintendo shares are commonly traded as American Depositary Receipts (ADRs) on the Over-The-Counter (OTC) market under the ticker symbol NTDOY.

After locating NTDOY, you will specify the number of shares you wish to purchase. You will then select an order type, which dictates how your trade will be executed. The most common order types include market orders, limit orders, and stop orders.

A market order instructs your broker to buy or sell shares immediately at the best available price in the market. While a market order guarantees that your trade will be executed, it does not guarantee a specific execution price, meaning the final price could differ slightly from what you observed when placing the order.

A limit order provides more control over the price at which your trade is executed. With a limit order, you specify the maximum price you are willing to pay when buying or the minimum price you are willing to receive when selling. While a limit order guarantees your desired price, it does not guarantee that the order will be executed at all, especially if the stock’s price does not reach your specified limit.

A stop order, also known as a stop-loss order, is designed to trigger a market or limit order once a specific “stop price” is reached. This type of order is often used to limit potential losses or to protect profits on an existing position. It is important to note that once a stop order is triggered and becomes a market order, the execution price is not guaranteed to be the exact stop price.

After selecting the order type and inputting the share quantity, you will typically review a summary of your trade before submitting it. Upon submission, your brokerage firm will process the order. You will receive a confirmation once the trade is executed, and the details of your new investment will be reflected in your account portfolio. Regularly monitoring your investment within your brokerage account is advisable to stay informed about its performance.